By Pemphero Mpho Musowa
A stock market analyst says there is need for incentives from market regulators and government to increase the number of listed companies.
The analyst said this will encourage companies to not only consider but actually list on then stock exchange.
Kondwani Makwakwa, an analyst at Stockbrokers Malawi Limited said as the MSE only listed one company, Blantyre Hotel Limited (BHL) taking the number from 16 to 17 counters.
He explained that despite the positive performance in the 2024 fiscal year, counters remain stagnant.
“To enhance market activity, regulators and the government should consider introducing incentives like tax breaks or other motivating factors to attract new listings,” Mwakwakwa suggested.
Makwakwa emphasized: “Since January, we have seen various developments in the market. Currently, five companies boast a combined market value of K1 trillion.
“The Malawi Stock Exchange began 2024 at a slow pace compared to the extraordinary performance of 2023.
“However, the market has picked up, which is a positive sign,” he noted.
He pointed out key sectors, particularly telecommunications and financial services, have driven the market’s recovery.
